The Canadian Vanguard Stock Market Report At Market Close – Tuesday, December 31, 2024
.
Follow us for Data-Driven Analysis and Insights To Guide Your Trading and Smart Investing
.
The Toronto Market
The TSX composite index advanced 107.35 points or 0.44% to close the market session at 24,727.94.
The Market Breadth: The market breadth improved as eight of the ten major sectors gained during the session on Tuesday. Telecommunications Services, up 1.58%, led the sectors. Healthcare was up 1.40%; Energy was down 1.10%; Basic Materials was up 0.88%; Discretionary Consumer Goods & Services was up 0.63%; Durable Consumer Goods & Services was up 0.26%; and Financials was up 0.22%. Technology was down -0.14% and Utilities was down -0.22%. It was not a bad market performance. Tuesday’s market session was quite positive. The index was of course up on Tuesday. We might be seeing early signs of a rally in the making, although a period of consolidation is also a possibility.
Industry Groups: Computer Hardware was up 19.40%; Consumer electronics was up 17.18%; Air Freight & Courier Services was up 5.34%; Advanced Medical Equipment was up 4.32% and Casinos & Gaming, it is holiday season after all, was 3.45%. Consumer Electronics group comprises only two companies, on the TSX. The two companies: CE Brands Inc. (CEBI) and International Parkside Products (IPD) are penny stocks. They are also not liquid, trading 5K or less shares per session.
Today’s Statistics: Today, the gaining issues (Advancers) outnumbered the declined issues (Decliners). There were roughly two Advancers for every Decliner or a more exact ratio of 2.14-to-1.0. In real numbers, there were 1,241 Advancers to 578 Decliners while 110 stocks remained Unchanged.
Today, the total volume of shares traded at the TSX was 244,819,599, or 25% less when compared to the volume of 327,453,229 shares traded on Friday.
Today, there were 77 new 52-Week Highs and 27 new 52-Week Lows. By comparison, there were 65 new 52-Week Highs and 21 new 52-Week Lows on Friday.
Market Roundup: The Toronto market was positive today but we need to wait for more sessions before we can confirm a trend change from the recent bearish trend.
.
The US Markets
All the three indexes ended the session in red. The Dow Jones Index was down -29.51 points or -0.07% to close at 42,544.22. The S&P 500 index was down -25.31 points or -0.43%, to close at 5,881.63. The Nasdaq Composite declined -175.99 points or -0.90%, to close at 19,310.79. Dow Jones and the S&P 500 are already below critical moving average levels and Nasdaq appears to be on track to join them. The market could of cause spin a surprise on Thursday and the bearish trend may reverse.
The Market Breadth: Tuesday, six of the eleven major sectors ended the market session with gains. Energy was up 1.11% and Telecommunications Services was up 0.45%. Basic Materials was up 0.37%; Durable Consumer Goods & Services was up 0.25%; and Financials was up just 0.03%. Industrials was down -0.07%; Utilities was down -0.13%; Discretionary Consumer Goods & Services was down -0.75%; and Technology was down -0.93%.The indexes were down but the market breadth was more indicative of a positive market.
Industry Groups: Textiles & Leather Goods was up 4.04%; Tires & Rubber Products was up 2.74%; Oil & Gas Drilling was up 2.57%; Rails & Roads –Passengers was up 2.47% and Oil & Gas Refining & Marketing was up 1.66%.
Today’s Market Statistics: At the NYSE, the gaining issues (Advancers) outnumbered the declined issues (Decliners). There were roughly six Advancers for every five Decliners or an exact ratio of 1.30-to-1.0. In actual numbers, there were 2,360 Advancers to 1,814 Decliners with 348 Unchanged.
Today, there were 52 new 52-Week Highs and 125 new 52-Week Lows – a bearish market. By comparison, on Friday, there were 48 new 52-Week Highs and 180 new 52-Week Lows which was also bearish. The indexes continue to struggle.
The total volume of stocks traded at the NYSE today was 935,171,044, or 16% more when compared to the volume of 804,250,435 traded on Friday.
On the NASDAQ, the Decliners outnumbered the Advancers. There were six Decliners for every five Advancers at the close of the market session or a more exact ratio of 1.19-to-1.0. In actual numbers, 2,398 Decliners to 2,010 Advancers with 224 Unchanged.
Today, there were 69 new 52-Week Highs but 98 new 52-Week Lows. By comparison, on Friday there were 94 new 52-Week Highs but 89 new 52-Week Lows.
The total volume of shares traded at the NASDAQ today was 9,063,037,373, or 13% more when compared to the volume of 7,994,381,774 shares traded on Friday.
Oil Price: U.S. crude oil price had a mild gain at the markets Tuesday. Oil price was at $71.95 a barrel as at the time of posting this report.
10 –year Treasury Yield: The 10-year Treasury yield was down today at 4.57% but had traded as high as 4.64% during the market session. It is generally not good for stock market investing for the 10-yield to keep climbing especially when the yield is already higher than 4%. Investors can make comparable or better returns from investment vehicles which are far less risky when compared to the stock market. The 10-year yield was at 4.573% as at the time of this post, Wednesday 11:50pm
Market Roundup Report: Santa Claus rally is yet to arrive this year. The market is currently not in the shape for aggressive trading. Of course, if you are very sure of what you are doing, who is there to stop you? When the 10-year yield is rising the stock market is not likely to remain or become bullish. As a stock market investor, the last investment vehicle you would ever wish goes up is the 10-year yield. Given the current erratic market behaviour, the best strategy is the one that minimizes losses. It is a good time to keep in mind Warren Buffet’s saying – “There are only two rules in investing. The first rule is to minimize losses and the second rule is to always obey the first rule”.
After hours action: Stock futures rose slightly to start the new year. futures are pointing at a probably positive session on Thursday but depends on after hours market tempo persisting in to the regular market session. Dow Jones futures is up 0.38%, S&P 500 futures is up 0.50% and NASDAQ futures is up 0.70% as at the time this post Wednesday night at 11:50pm. Of course the market will do what it wishes to do and the overnight market is not a guaranteed predictor of the following day’s market performance.
.
Regular Market Day Features
Beginner Investor’s (Canadian stocks) Watchlist
Dollarama (DOL) closed at $140.28 Tuesday, recording 33% gain for the 2024 year. Will Dollarama repeat a similar performance in 2025? We shall keep an eye on it for our readers.
Blended Growth Stocks Watchlist
EV, Energy and Resource Stocks Watchlist
Tesla Inc. (TSLA) has been down the past four market sessions. Tesla and Super Micro Computer Inc (SMCI) are now sharing similar traits – extreme wild swings. On December 17, Tesla stock closed at $479.86. The stock closed today, Tuesday at $403.84, down 16% from December 17. On other hand, TSLA closed at $288.53 on November 6, the day after Trump election win.
IMPORTANT NOTICE
Readers are reminded that the market’s performance at the following day’s market session may completely differ from the market performance at the overnight markets.
SUBSCRIPTION Offer: We thank you for following our Stock Market reports but please be aware that we shall soon be restricting these articles to subscribers only.
We do not send this publication by email to readers. If you receive a copy by email please simply forward the email to us.
Our reports are composed by humans after proper analysis and detailed research. It is neither AI nor machine generated. We do not, like AI, make things up.
